MTM Options Trader Newsletter - The Art of Not Fighting the Tape

[image]() [image] This Week in the Market Can one stock influence the market? That question was answered this past week when NVIDIA Corp. saw a record-breaking one-day gain in market value of about $273 billion following its earnings announcement. The major indexes had previously pulled back, but the move higher on Thursday wiped that away. Another pullback may be in the cards this week, but a bullish to non-bearish market outlook is still warranted. Implied volatility levels and option prices are somewhat elevated from earlier this year. This week is absolutely jam packed with economic reports, including a couple of housing reports and the latest update to GDP. Several Federal Reserve speakers are also scheduled, with Thursday and Friday being particularly heavy. Stay tuned for what could be another volatile week. Quarterly earnings continue to wind down, but there are still some notable companies on the docket. Have a safe, healthy and prosperous week! Feb 26: New Home Sales Feb 27: Durable Goods Feb 27: Consumer Confidence Feb 28: GDP Feb 28: Trade Balance Feb 29: Jobless Claims Feb 29: Personal Income and Spending Feb 29: Pending Home Sales [Read Our Blog]() The Art of Not Fighting the Tape In trading, where the only constant is change, the adage “Don't fight the tape” is a good one. That simple principle is profound but sadly often underestimated. As someone who has navigated the turbulent waters of options trading, I’ve come to appreciate the elegance of this trader idiom. It’s not just advice; it’s a survival strategy if you want to outperform the market in the long run. Think of the market as a river—because sometimes it kind of is. It has its own flow and direction. Attempting to be one little fish and swim against this powerful current is a fool’s errand, for sure. Maybe a better analogy is a cat trying to do it. Sure, it might paddle a bit, [Continue Reading …](=) MTM Watchlist Here are a few trade ideas we will most likely look at in MTM’s LIVE Advantage Group Coaching class this week: SPY – Another slew of vertical debits and credits are expected as the S&P 500 keeps moving higher, or at least not much lower. AAPL – The stock continues to struggle to move above its daily 50-day moving average. Additional bear call spreads will be considered after several others proved successful. GE – The stock has been a money-making machine over the past several months in group coaching class, where we’ve used poor man’s covered calls to generate income. The stock looks destined to move even higher, and straight long calls might be on the menu. [image]( The strategies in this newsletter are for educational and informative purposes only. All information disclosed in this newsletter should not be considered complete in its entirety. Market Taker Mentoring, Inc. will not be held responsible for changes, oversights, errors or omissions. Dates, prices, news and other information may not be accurate. Please verify all information before trading. You alone are responsible for your own investment decisions. Options involve risk and are not suitable for all investors. Before trading options, please read Characteristics and Risks of Standardized Option (ODD), which can be obtained from your broker; by emailing investorservices@theocc .com; or from The Options Clearing Corp., 125 S. Franklin St., Suite 1200, Chicago, IL 60606. No statement in this newsletter is intended to be a recommendation or solicitation to buy or sell any security or to provide investment or trading advice. Traders and investors considering options should consult a professional tax advisor as to how taxes may affect the outcome of contemplated options transactions. Copyright Market Taker Mentoring, Inc. 2008 - 2024. All rights reserved. Reproducing or redistributing this content is a violation of federal law. [image] If you do not wish to be contacted via email, you can unsubscribe using this link: [Unsubscribe]( Unsubscribing from email notifications DOES NOT cancel your class, subscription or recurring payments. We recommend that current students do not unsubscribe from email notifications. If you unsubscribe from email notifications, you will not be notified on how to access the classes or subscriptions in which you are enrolled. Market Taker Mentoring, Inc. PO Box 117 Frankfort, Illinois 60423 United States